Huge hedge fund wheat bets ‘limit price downside’

AgriMoney – The extent of hedge funds’ negative positioning on wheat has got so large that it may limit their appetite for more, brokers warned, even as prices outperformed those of fellow grains.

Managed money, a proxy for speculators, reduced its net long position in futures and options in the main 13 US-traded agricultural commodities by nearly 29,000 contracts in the week to last Tuesday, analysis of data from the Commodity Futures Trading Commission regulator shows.